Downturn in Beef
LIVESTOCK AM OUTLOOK
The downturn in beef will affect current cash cattle, and if remain and continue to move down they eventually will affect February/April. At this time 2021 depends on speculators/spreaders point of view and if there is a decent short hedge position at some time.
There are plenty of hogs in the US and globally. Going forward it is important to watch hog slaughter numbers and weights to see if hogs are being backed up due to COVID 19. Two US poultry plants had shipments stopped. After their New Years buying of pork, look for stricter inspections on US ships and plane deliveries.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.